How much house can I afford?
Simple to ask, harder to answer. Here is a practical way to think about your number.
Start with the price range for the community you want, then the rate you qualify for, then the costs beyond the mortgage. Across the areas I serve, most buyers are looking in the $350,000 to $700,000 range, and the Sacramento region's median sale price sits around $515,000 to $530,000 in late 2026. The clearest way to know your number is to get pre-approved early, so you work from what a lender will actually finance.
Start with the price range, not the dream home
Home prices vary noticeably across Northern California. In late 2026, the median sale price in the Sacramento region sits around $515,000 to $530,000. Communities like Yuba City, Wheatland, and Plumas Lake often offer more space for the money, while Lincoln and parts of Sacramento carry a premium for newer construction, schools, and proximity to the metro. Knowing the realistic price range for the community you love is the first step.
Mortgage rates change the math
A 30 year fixed mortgage has been hovering around 7% in late 2026, and even a half point difference changes your payment by hundreds of dollars a month. As a rough example, a $515,000 home with 20% down at about 7.25% works out to roughly $2,800 per month in principal and interest, before taxes and insurance. That is why getting current rate quotes matters, and why I always suggest buyers talk with a lender early.
Remember the costs beyond the mortgage
Your monthly payment is only part of the picture. Property taxes, homeowners insurance, HOA dues in communities like Plumas Lake or Lincoln, utilities, and routine maintenance all add up. California's property tax system keeps base rates around 1% of the purchase price, though insurance costs have been climbing in recent years.
Down payment and pre-approval
Twenty percent down avoids private mortgage insurance and lowers your payment, and it is a great goal. But it is not the only path: many buyers put down 3 to 5% with conventional loans, and FHA and VA options can help qualified buyers get in with less. Before you fall in love with a home, get pre-approved. It tells you exactly what a lender will finance and strengthens your offer in a competitive market.
Have another question?
Ask me anything about buying, selling, downsizing, or relocating in Northern California. Your question goes straight to me, and I answer it personally.
Call or text (916) 761-6299